Best Loans for Bad Credit [2019 Edition]

Having less than perfect credit doesn’t mean obtaining a loan is out of the question. There are lenders who have plans designed for those who’ve been through some difficult times.

By working with one of those lenders, you can get a loan for bad credit with reasonable terms.

Here are examples of four possible sources that can help with the loan for bad credit that you need.

Magical Credit

While applying for some loans for bad credit involves quite a bit of effort, Magical Credit goes out of the way to make things easy. Rather than placing a lot of emphasis on past credit issues, this lender focuses more on the amount of income you generate each month. Specifically, they want to know about your fixed monthly income.

Why does this approach make a difference? The emphasis on fixed monthly income makes it easier for Magical Credit to offer quick loans to applicants who might now have much of a chance elsewhere. Even people who are on fixed government subsidies and pensions are invited to apply for loans.

The application process itself is simple. You do need to have at least the minimum amount of fixed monthly income. Your income must be deposited directly into your bank account. If you’ve taken out any type of payday loan in the past, those loans had to be paid off on time.

Assuming you need these basic criteria, you submit a short application online. In most cases, there’s an answer within minutes. If approved for the bad credit loan, the money is placed directly into your bank account. Payments are then electronically deducted from that same account according to the agreed upon schedule.

Loans Canada

Loans Canada is advertised as being the right solution for Canadians with just about any type of credit situation. That includes bad credit. From personal loans to mortgage financing to debt consolidation, the lenders affiliated with Loans Canada can help with most needs.

The process with Loans Canada involves submitting an application. Within that application, you provide most of the same sort of information that you would provide to a local bank. That includes specifying what sort of lending arrangement you’re seeking. Once your application is received, Loans Canada analyzes the data and matches you with potential lenders that participate in their network.

It’s not unusual to receive an offer from one than one lender. The nice thing about this arrangement is that you get to compare those offers and decide which one is the best fit for you. This approach makes it easier to see who has low rates and who has rates that are a little higher. You can even get a better idea of how each of the repayment schedules work.

Ferratum Money

Ferratum Money seeks to provide a loan solution that’s as flexible as possible. Qualifying for loans requires that you be at least 18 years old. Permanent residents as well as Canadian citizens are welcome to apply. You do need to have continual employment with the same employer for at least three months. You must also be a resident of British Columbia, Alberta, or Ontario.

What’s a little different about their loan options? You can select the term at the time you prepare the application. It’s also possible to indicate whether you want to make weekly, biweekly, or monthly payments. You’ll also find that the maximum loan amount they will approve is more than some other Canadian based bad credit lenders.

Another point in favour of Ferratum Money is that they don’t add in a lot of fees. The result is that more of each payment goes to retire the principle. This lender also does not have any type of penalty if you decide to pay off the loan early.

Do keep in mind that Ferratum Money does conduct credit checks. Before you submit an application, it pays to request reports from the three main credit agencies. This provides you with a chance to see if there is any information that needs to be updated or otherwise corrected. If your application is approved, you can expect the funds to be released within one business day.

Loan Connect

Loan Connect works with applicants who have poor credit, are currently working with a consumer proposal, or who have recently completed a personal bankruptcy action. In order to apply, you must be a permanent resident or Canadian citizen. While people from any province can apply, only those who are considered over the age of majority in their home provinces will be considered.

As with many of the best lenders offering help for those with less than perfect credit, the online location is simple and doesn’t take much time to prepare. Upon submission, the evaluation process begins immediately. Once you receive notice that the loan is approved and you agree to the terms and conditions, arrangements to transfer the funds into the bank account of your choice will begin. Typically, the funds will appear in your account in one business day.

Remember that the payments on your loan with poor credit will be electronically deducted from the same bank account used to receive the loan proceeds. The date for the withdrawal is fixed and will appear in the loan terms and conditions. You can choose a date with an approved range of dates. Choosing to set the date to occur a few days after your paycheck normally posts to your account helps to ensure the money for the loan payment is always there.

If you need a loan for a short-term or possibly financing for a longer term, a few past credit problems doesn’t have to slow things down.

By working with a lender who has a program designs for people with poor credit, you can receive the money that you need.

Decide what you need in the way of a loan for bad credit, including the terms that will fit into your budget. Review these four and see what you think. There’s a good chance that your application will be approved, and the money transferred to your bank account in a matter of days.

 

 

Disclaimer: This content does not necessarily represent the views of IWB.

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